Arbeitspapier

(Re-)Distribution of Personal Incomes, Education and Economic Performance across Countries

In many OECD countries income inequality has risen, but surprisingly re-distribution as well. The theory attributes this partly to the redistributive effect of education spending. In the model income inequality and growth depend in an inverted U-shaped way on education. To maintain a given level of human capital it is shown that a less efficient schooling technology requires more resources, which lowers pre-tax and post-tax income inequality as well as growth. Using consistently defined income data from the Luxembourg Income Study suggests that there is a negative relationship between growth and income inequality in rich countries. It is argued that using some unadjusted inequality measures in growth regressions may yield estimates that are biased upwards. The evidence suggests that a rich country would raise growth with lower pre-tax and post-tax inequality if it spent more on education.

Sprache
Englisch

Erschienen in
Series: LIS Working Paper Series ; No. 299

Klassifikation
Wirtschaft
Thema
Einkommensverteilung
Einkommensumverteilung
Bildungsfinanzierung
Bildungswesen
Lebensstandard
Wirtschaftswachstum
Schätzung
Theorie
Welt

Ereignis
Geistige Schöpfung
(wer)
Rehme, Günther
Ereignis
Veröffentlichung
(wer)
Luxembourg Income Study (LIS)
(wo)
Luxembourg
(wann)
2002

Handle
Letzte Aktualisierung
10.03.2025, 11:43 MEZ

Datenpartner

Dieses Objekt wird bereitgestellt von:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.

Objekttyp

  • Arbeitspapier

Beteiligte

  • Rehme, Günther
  • Luxembourg Income Study (LIS)

Entstanden

  • 2002

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